SC flags issues in property registration, says examine blockchain tech

Key Highlights:

• The Supreme Court highlighted deficiencies in the current legal framework for property registration in India.
• The court suggested examining the adoption of blockchain technology to improve transparency and efficiency.
• The existing system relies on the Transfer of Property Act, 1882, the Indian Stamp Act, 1899, and the Registration Act, 1908.
• Registration of property documents does not guarantee ownership, placing a burden on buyers.

Detailed Insights:

• The current legal architecture for property transactions is based on a colonial construct that lacks transparency.
• Blockchain technology could ensure immutability, transparency, and traceability, minimizing fraud in property transactions.
• The Law Commission has been urged to examine the issue in detail, consulting with the Union, states, and stakeholders.
• The court observed that the Registration Act mandates registration of documents but does not guarantee the title.

Key Concepts Involved:

• Blockchain Technology: A decentralized, immutable ledger for recording transactions across many computers.
• Immutability: The state of being unchangeable over time.
• Transparency: The quality of being easily seen through.